Playing Powell-itics as inflation target in perit

Federal Reserve officials are not mincing words: The central bank and its chair, Jerome Powell, believe the 2% inflation target is sacrosanct and will risk a recession and bear market to get there. So why are markets rallying hard — as if Powell is about to soon cut interest rates, not raise them? The answer … Read more

Mr. Big Short Issues a Dire Warning About the Economy

In the current recent euphoria of the markets, Michael Burry must appear as a killjoy. Moreover, he chose as “Cassandra BC” as a handle in the microblogging website Twitter. This suggests that it does not bother him to be often against the current of the general trend if in the end he ends up being … Read more

Stocks Could Keep Rising If the Fed Shows Restraint

Text size As the market rebounds, speculative stocks are staring. For proof, consider Cathie Wood’s ARK Innovation ETF, up about 40% since mid-June. David Swanson/Reuters/Alamy What bear market? Stocks continued their summer rally this past week as better-than-expected inflation results helped lead to a 3.3% gain in the S&P 500 index, its fourth consecutive weekly … Read more

Don’t Trust This Stock Market Rally. Strategists See More Trouble Ahead.

Text size Only 30% of the indicators that typically light up before market bottoms are triggered today, according to Bank of America. Angela Weiss/AFP via Getty Images The S&P 500’s 15% summer bounce off its June lows may be as fleeting as the relief from the heat a weekend at the beach provides. Bank of … Read more

Stock Futures Hushed After Lower-Than-Expected Inflation Sends Nasdaq Into Bull Territory

Text size After the newest inflation numbers, bullish traders hope the Fed won’t have to raise rates as aggressively as previously feared. Courtesy NYSE US stock futures were mixed Wednesday evening after July’s consumer price index showed that inflation eased last month, propelling the tech-heavy Nasdaq Composite into bull-market territory earlier in the day. Prices … Read more

Fed Likely to Want Further Evidence of Inflation Slowdown

A slowdown in inflation last month, following recent indications of a robust labor market, complicates the Federal Reserve’s decision on how much to raise interest rates next month. Data on inflation and economic activity are likely to guide whether central bank officials lift their benchmark federal-funds rate by a half-percentage point or three-quarters of a … Read more

Dow Shoots Higher, Tesla Gains

Text size Traders working at the New York Stock Exchange (Photo courtesy of NYSE) The Dow Jones Industrial Average surged nearly 500 points as investors hope that inflation has peaked. In midday trading, the Dow has risen 494 points, or 1.5%. The S&P 500 was up 2% and the Nasdaq Composite has gained 2.7%. The … Read more

Stuart Varney: This is what you get when you stick with capitalism – Fox Business

Stuart Varney: This is what you get when you stick with capitalismFox Business

What’s at Stake if the Federal Reserve Intervenes in Today’s Tight Labor Market

About the author: JW Mason is a professor of economics at John Jay College, City University of New York, and a fellow at the Roosevelt Institute. The labor market is exceptionally tight, at least by the standards of recent history. That matters for monetary policy, but its importance goes beyond inflation, or even material living … Read more